Buttrick v. Intercity Alarms, LLC

2009 Mass. App. Div. 97, 2009 Mass. App. Div. LEXIS 13
CourtMassachusetts District Court, Appellate Division
DecidedJune 17, 2009
StatusPublished
Cited by1 cases

This text of 2009 Mass. App. Div. 97 (Buttrick v. Intercity Alarms, LLC) is published on Counsel Stack Legal Research, covering Massachusetts District Court, Appellate Division primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Buttrick v. Intercity Alarms, LLC, 2009 Mass. App. Div. 97, 2009 Mass. App. Div. LEXIS 13 (Mass. Ct. App. 2009).

Opinion

McCallum, J.

The plaintiff, Jeffrey Buttrick (“Buttrick”), brought this breach of contract action against his former employer, defendant Intercity Alarms, LLC (“Intercity Alarms”), alleging that it terminated his employment in violation of the progressive discipline policy contained in its employee manual. A jury found in favor of Buttrick and awarded him $41,888.00 in damages. The trial judge denied Intercity Alarm’s motion for judgment notwithstanding the verdict or, in the alternative, for a new trial. This appeal followed.

From the late 1980s through 2004, Intercity Alarms employed Buttrick for three nonconsecutive periods. During that time, it issued at least three versions of its “Employee Reference Manual.” The record appendix contains only the 2000 and 2004 versions (respectively, “2000 Manual” and “2004 Manual”).2 The latter was in effect at the time of Buttrick’s termination in May, 2004, although no differences significant to this appeal exist between the two versions.3

The stated purpose of the 2004 Manual was to “inform all employees of the current policies and programs” of the company, and to “assist in clarifying important aspects of employment.” The manual contained forfy-seven sections explaining the company’s policy on, among other things, hiring, attire, gum chewing, sexual harassment, and discipline. It also contained a detachable form requesting the employee’s signature to confirm his receipt and acknowledgment of the manual.

[98]*98The section entitled “Disciplinary Policy” stated, “It is the policy of Intercity Alarms that no disciplinary action taken against any employee will be arbitrary, capricious, unreasonable or discriminatory.” The next paragraph provided, “No company likes to discipline or separate its employees from employment, however, disciplinary action will be taken whenever an employee violates any rule of the company, fails to adhere to any policies and procedures, or fails to uphold the spirit of our corporate objectives.” The disciplinary policy section concluded that the “severity of the action taken will be in accordance with the following: Verbal Counseling ... Written Counseling... Suspension.”4 There was no provision for termination in that section.

On January 22, 2004, James Yurasits (‘Yurasits”), then service manager at Intercity Alarms, conducted Buttrick’s annual employee review. The written review indicated that Buttrick’s technical skills were excellent, but that his attitude and interpersonal skills were below average. Yurasits testified that in addition to the written review, he issued Buttrick a “verbal warning for 90 days.” Buttrick denied that he received such a warning.

Intercity Alarms fired Buttrick on May 4,2004. Buttrick testified that on that date, John Davenport (“Davenport”), then general manager, asked for Buttrick’s resignation three times during an afternoon meeting. Buttrick refused. Davenport then terminated his employment. In the subsequent “exit interview” conducted by Yurasits, Yurasits indicated that Buttrick had been terminated because of “unsatisfied [sic] performance,” specifically noting his “refusal to go on a service call,” refusal “to give sales manager information regarding a sales possibility without compensation,” and providing “false information on time card.”

[99]*99On April 6, 2005, Buttrick filed a six-count complaint against Intercity Alarms. Before trial, counts III-VT were dismissed by agreement.5 At the close of Buttrick’s case, Intercity Alarms moved for directed verdicts on count I (breach of an implied employment contract) and count II (breach of an implied employment contract based on terms in the employee manual). The trial judge allowed the former, but denied the latter. After a trial on count II, the jury returned a verdict for Buttrick in the amount of $41,888.00. Intercity Alarms moved for judgment notwithstanding the verdict (“judgment n.o.v.”) or, in the alternative, for a new trial on the grounds that the verdict was against the weight of the evidence and the damages were excessive. The trial court denied both motions, and judgment was entered for Buttrick.

1. Intercity Alarms argues that it was entitled to judgment n.o.v. because there was no evidence to support a finding of an implied contract based on the terms of the employee manual. It also argues that, even if such an implied contract did exist, its termination of Buttrick’s employment without prior warning or suspension was not a breach of that contract.

“In considering whether the trial judge properly denied [the defendant’s] motion for judgment notwithstanding the verdict, our inquiry is whether ‘anywhere in the evidence, from whatever source derived, any combination of circumstances could be found from which a reasonable inference could be drawn in favor of the plaintiff.’” Simmons v. Monarch Machine Tool Co., 413 Mass. 205, 210 (1992), quoting Raunela v. Hertz Corp., 361 Mass. 341, 343 (1972). “We do not weigh the evidence or consider the credibility of the witnesses.” Conway v. Smerling, 37 Mass. App. Ct. 1, 3 (1994). “Evidence that contradicts the testimony of the nonmoving party is to be ignored.” Id.

Massachusetts law assumes at-will employment unless there exists, expressly or impliedly, a contract governing the terms and conditions of employment. See Jackson v. Action for Boston Community Dev., Inc., 403 Mass. 8, 9 (1988). “[0]n proper proof, a personnel manual can be shown to form the basis of an ... implied contract.” Id. at 13. In Jackson, on cross motions for summary judgment, the Supreme Judicial Court held that the plaintiff-employee had not entered into an implied contract with the employer based on the following six factors: (1) the employer retained the right to modify unilaterally the manual’s terms; (2) the manual provided that it was for “guidance” as to the employer’s policies; (3) there was no negotiation between the employer and the employee regarding the terms of the manual; (4) the manual stated no term of employment; (5) the employer called no special attention to the manual; and (6) the employee did not sign or manifest his assent to the manual or acknowledge that he understood its terms. Id. at 14-15.

In O’Brien v. New England Tel. & Tel. Co., 422 Mass. 686 (1996), the Supreme Judicial Court clarified Jackson, stating that its six factors “are not a rigid list of prerequisites, but rather explain factors that would make a difference or might make a difference in deciding whether the terms of a personnel manual were at least impliedly part of an employment contract.” Id. at 692. The Court noted that negotiations regarding the terms of the manual between employer and employee are not an [100]*100essential precondition to enforcement of those terms. Id. Further, any disclaimer stating that a manual creates no contractual rights, or reserving a unilateral right to modify the manual, while relevant, is not dispositive. Id. at 693; Ferguson v. Host Int’l, Inc., 53 Mass. App. Ct. 96, 102-103 (2001). Rather, the central question remains whether the employee “would reasonably conclude that the employer was presenting the manual as a statement of the conditions under which employment could continue.”6 O’Brien, supra at 693.

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Bluebook (online)
2009 Mass. App. Div. 97, 2009 Mass. App. Div. LEXIS 13, Counsel Stack Legal Research, https://law.counselstack.com/opinion/buttrick-v-intercity-alarms-llc-massdistctapp-2009.